SYDNEY: UnderCoverWear (UCW) has released its results for the six months to December 31 2007, reflecting a period of significant change for the company.
The Baulkham Hills, Sydney headquartered womenswear home shopping brand – which employs more than 2000 independent sales consultants in Australia and New Zealand – revealed revenues from ordinary activities of $20,248.219 for the period, down 18.3 per cent on the previous corresponding period.
CEO Elaine Vincent confirmed that taking into account a structural change to the company during the half, actual revenues for the period were down 7.0 per cent on the previous corresponding period.
On August 1 2007 UnderCoverWear changed its business model to become a wholesaler, with its independent sales consultants taking on the legal status of retailers. This meant commissions would no longer be paid to sales consultants, who would instead receive the margin between wholesale purchase price and retail sale price.
Meanwhile profits from ordinary activities after tax were $2,450.641 for the period, an increase of 1.5 per cent on the previous corresponding period.
UnderCoverWear's main focus for the coming year would be to significantly boost its sales force, with a view to increasing revenue and penetrating new areas.